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EMHY Crosses Critical Technical Indicator

In trading on Wednesday, shares of the iShares Emerging Markets High Yield Bond ETF entered into oversold territory, changing hands as low as $51.49 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100.

In trading on Wednesday, shares of the iShares Emerging Markets High Yield Bond ETF ( EMHY) entered into oversold territory, changing hands as low as $51.49 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100. A stock is considered to be oversold if the RSI reading falls below 30.

In the case of iShares Emerging Markets High Yield Bond, the RSI reading has hit 26.0 — by comparison, the RSI reading for the S&P 500 is currently 35.8.

A bullish investor could look at EMHY's 26.0 reading as a sign that the recent heavy selling is in the process of exhausting itself, and begin to look for entry point opportunities on the buy side.

Looking at a chart of one year performance (below), EMHY's low point in its 52 week range is $47.54 per share, with $53.82 as the 52 week high point — that compares with a last trade of $51.51. iShares Emerging Markets High Yield Bond shares are currently trading off about 0.8% on the day.

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In trading on Monday, shares of the iShares Emerging Markets High Yield Bond ETF entered into oversold territory, changing hands as low as $48.00 per share. We define oversold territory using the Relative Strength Index, or RSI, which is a technical analysis indicator used to measure momentum on a scale of zero to 100.